Electrolux News
Submitted by advisor on Fri, 07/17/2009 - 9:13am.
1) Electrolux North America President and CEO Keith McLoughlin has taken on the position of Chief Operating Officer Major Appliances, which "will be responsible for a new organization for R&D, Purchasing and Manufacturing with the objective of taking full advantage of the Group’s global reach and economies of scale." He will report to Global President and CEO Hans Stråberg.
We can't tell if this is an example of being kicked upstairs, a promotion for a job well done with global responsibility further up the food chain, or a window seat waiting for retirement. One imagines that Keith McLoughlin will have the final word on all of that.
See press release
2) Electrolux reports a big jump in Q2 profits. Sales increased 7.4% they say. Huh?
We don't really "buy" it, and our cynicism was quickly rewarded. Sales rose 7.4% based on currency exchange rates. When sales are compared in the local currencies, sales fell 8.4%. OK, that's more like it. Electrolux touted their cost reductions (a few of the 3000 of which you may see holding cardboard signs at the highway on-ramp). Analysts also touted material cost reductions. Electrolux said that there are more savings to be had and touted the new organization run by Keith McLoughlin (see Electrolux story #1 above) tasked to find those savings.
See AP story
